The housing market in Grand Rapids has been a growing topic of conversation, and for good reason. With rising demand, increasing competition, and a noticeable influx of out-of-state buyers, West Michigan is gaining national attention. Realtor Mike Smallegan of Keller Williams and Smallegan Real Estate shared insights on what’s driving the growth—and how it’s impacting the local market.
A Region in Demand
During his recent State of the City address, Mayor David LaGrand emphasized the urgent need for more housing in Grand Rapids. He reported that the city needs 12,400 new housing units over the next two years to keep up with demand—that’s 12 homes per day for the next 1,000 days.
While the city works on initiatives to meet this challenge, realtors are witnessing the reasons behind this surge in demand firsthand.
Job Growth and Cost of Living Are Key Drivers
“A big part of it is our economy, our health care, just the job market,” Smallegan said. “There’s a lot of new companies starting up that are looking for talent.”
Smallegan explained that while salaries may be slightly lower than in places like California or New York, the cost of living in West Michigan allows people to do more with their income. Buyers relocating from out of state are often surprised at how much house they can afford in Grand Rapids.
Out-of-State Buyers Fueling the Market
Smallegan noted that his team is working with buyers from states like California, New York, and Illinois who are choosing Grand Rapids as their new home base. Many are drawn by a mix of affordability, job opportunities, and lifestyle.
“They’re buying way bigger houses or spending more, but they think it’s less because they’re comparing it to other parts of the country,” he said.
Inventory Stays Tight—Especially Under $300K
Despite the demand, inventory remains limited. Smallegan said a recent listing under $300,000 received over 50 offers. This illustrates how competitive the market still is, particularly at lower price points.
To put it in perspective, he compared Grand Rapids to Fort Myers, Florida. “In Fort Myers, there are almost 5,000 homes on the market. In Grand Rapids, which is a little bit bigger, we have about 300 homes on the market currently.”
West Michigan’s Appeal Goes Beyond Housing
The region’s appeal isn’t just economic. Smallegan pointed out that West Michigan’s growing amenities, beaches, and cities offer a lifestyle that stands out—especially for newcomers.
“There’s so many good things about West Michigan that I think when you live here year-round or for your whole life, you don’t really see it the same way as somebody moving to this area,” he said.
Conclusion
With strong job growth, affordability, and quality of life, Grand Rapids continues to attract new residents from across the country. But as the demand grows, the challenge of housing supply becomes more urgent. For now, it remains a seller’s market—and one of the most competitive in the Midwest.
The housing market in Grand Rapids has been a growing topic of conversation, and for good reason. With rising demand, increasing competition, and a noticeable influx of out-of-state buyers, West Michigan is gaining national attention. Realtor Mike Smallegan of Keller Williams and Smallegan Real Estate shared insights on what’s driving the growth—and how it’s impacting the local market.
Check out the news story Below!
WZZM Article
Information acquired from WZZM13 and Mike Smallegan